Income Tax Returns: Filing tax returns can be simpler with professional help

TRPs charge Rs 250 or less from taxpayers for preparing their income tax returns.

"The department also pays incentive to the TRPs for preparing returns for taxpayers which is a percentage of the total tax paid as per the returns prepared by the TRP subject to a maximum limit of 1,000. Hence, the cost to the tax payer is only 250 or less," says Amrapal Chadha.

"The service providers will charge fees based on the complexity of the tax return. The cost could range from 250 per return to 2,000 or even higher," adds Vineet Agarwal .

Choosing the right service provider

A service provider should be selected on the basis of the complexity involved in a tax return. Salaried individuals who are required to file a simple ITR-1 based on their Form 16 can take the help of TRPs or private websites as the cost involved is less. However, you can take assistance from experienced tax consultants for preparing complex returns involving capital gains and house property income. "A taxpayer should also check other aspects like the background and experience of the service provider, fees charged, estimated time involved in preparing the return, expertise of the consultant to deal with the complexities involved in the tax return. One can even look at other services provided by the consultant such as assistance in follow up for refund, representation before the tax authorities in case of any notice, etc," says Vineet Agarwal.